Microsoft Develops AI Model To Compete With OpenAI, Copilot Trial

Microsoft is considering releasing the MAI model in API form (photo: x@mustafasuleyman)

JAKARTA Microsoft is developing an internal artificial intelligence (AI) model that can compete with OpenAI, according to The Information report on Friday 7 March. The Redmond-based company Washington also plans to sell the AI model to developers.

The report states that Microsoft has started testing models from xAI, Meta and DeepSeek as an alternative to OpenAI technology in their AI feature, Copilot. The move shows Microsoft's efforts to reduce its dependence on OpenAI, although the company is one of the main investors of the ChatGPT startup.

Since Microsoft 365 Copilot's announcement in 2023, this feature has been known for using the GPT-4 model from OpenAI. However, Microsoft now wants to diversify the technology used in Copilot, including by adding internal AI models and third parties to reduce operating costs.

Microsoft's AI Division, led by Mustafa Suleyman, has completed training on a series of models known internally as MAI. The model is claimed to have almost the same performance as OpenAI and Anthropic's leading AI models in various standard benchmarks.

The Suleyman team is also training a reasoning-based AI model, which uses a chain-of-throught technique an approach that allows AI to generate answers with more complex stages of thought. The model is designed to be able to compete directly with OpenAI technology.

Currently, Microsoft has started testing the MAI model in Copilot, replacing the model from OpenAI in stages. This MAI model is much larger than the previous family of models, Phi, developed by Microsoft.

The report also states that Microsoft is considering releasing the MAI model in API form (Application Programming Interface) later this year. This will allow external developers to integrate Microsoft's AI model into their own apps.

Neither Microsoft nor OpenAI have made official comments regarding this report.